European Wealth, the AIM-listed group, revealed it had another loss-making year but boosted funds by 59 per cent.

UK-listed European Wealth drove its funds under management and influence up by 59 per cent year-on-year to £1.03 billion ($1.59 billion) in 2014, but profit before tax and exceptional items fell from £1.56 million to £22,000.

In its first full-year results statement as a listed company, the group said it had come under pressure from the “reverse” takeover of European Wealth Management Group last May, as well as expansion initiatives.

Over the year, European Wealth acquired Compass Financial Benefits with around £31 million of funds under influence, and P&C Global Wealth Managers, as well as associated Swiss-based asset manager GTI Fund Investment with around £92 million of discretionary funds under management. It also opened an office in Manchester in September.

Still, the group increased its revenue by 16 per cent year-on-year to £6.7 million at the end of 2014, while slashing its loss from £998,000 to £667,000.

“The investment into our expansion, combined with the one-off costs associated to the reverse, has inevitably placed pressure on our headline numbers in the short-term though I am pleased to report we are now making progress in stabilising those costs,” said European Wealth's executive chairman, John Morton.

“Indeed, the board remain firmly of the view that a combination of an increased demand for the services the industry offers together with a continued consolidation can only provide an attractive opportunity for the continued development of the group.”